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Why Multi-Tier Supplier Collaboration is More Important Now

Real time visibility into suppliers at every tier was once considered impossible, but now it is vital to the success of market leaders. With protectionist measures already coming into effect in the US, and with Europe and other nations soon to follow, collaboration with suppliers across all tiers is more important than ever. By Amber Road

October 23, 2017

It's obvious to many that global trade enforcement is topping the list of “To Do” tasks for the new U.S. administration, but many don’t realize this is widespread all around the world and feels a lot like protectionist measures.

President Trump is no longer just talking about aggressive action, his budget plans, formation of new task forces, and cabinet picks echo his vow to crack down on unfair trade practices by prioritizing trade enforcement functions. In Europe, the 2017 elections could yield more of the same attitude.

Ultimately, these actions ripple back through the entire supply chain; landing squarely on the shoulders of the suppliers. In order to lift some of the weight from the lower rungs, companies need to establish solid working relationships with every layer of the supplier base to facilitate collaboration, communication and clear visibility.

Multi-tier supply chain visibility is now fully achievable. The obstacles that used to exist have been removed; once sparse in many regions where sourcing was prevalent, internet access is widely available to factories that need to provide on-hand raw material levels, detailed production milestone events, and shipment readiness.

With cloud-based platforms in place and all of the parties in the supply chain accessing them, real-time visibility is no longer just a pipedream - market leaders in every industry segment have visibility not just into their important tier 1 suppliers, but also a limited cross-section of their tier 2 and tier 3 suppliers as well.


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